Scotland-based Smart Metering Systems (SMS) is consolidating its position in the UK electricity and gas metering market by acquiring Utility Partnership Limited (UPL), a company offering meter management, installation and data services.
In a deal valued at £14 million, the acquisition will allow SMS to offer end-to-end dual-fuel services to existing gas and electricity customers from meter connections, to installation, management and data management.
Alan Foy, chief executive officer at SMS, commented on the purchase: “The acquisition of UPL will enable SMS to expand its service offering across the gas and electricity sectors, and the enlarged group will now offer a fully integrated service in these markets.
“It positions the enlarged Company as a dual gas and electricity service provider and establishes a base from which we can enhance our existing respective client relationships.
“It will ensure that SMS is well positioned with suppliers of domestic gas and electricity for the future UK domestic smart metering roll out.”
SMS, a FTSE AiM 50 indexed company, believes there is scope to increase its penetration into geographic markets through UPL’s energy management propositions already established in Italy and the Caribbean and SMS’s ADM(TM) device, which is currently undergoing trials in five different countries.
UPL will join the SMS Group as a new electricity division to be headed by Rhys Wynne, who co-founded UPL in 1996.
A new water division will be established to promote data services in the UK and International water markets.
For the year up to July 31 2013, UPL had a turnover of £11.1 million with gross profit of £3.7 million.
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